News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Bearish
Gold
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Mixed
USD/JPY
Mixed
More View more
Real Time News
  • House Speaker Nancy Pelosi: -Optimistic for stimulus deal -Trump administration has come a long way toward reaching an agreement -Want to crush the virus -Need to improve health care language on stimulus bill -Will speak with Treasury Secretary Steven Mnuchin today at 3PM ET
  • Netflix earnings is due after the close today. Despite its being a vaunted FAANG member, I think it will draw less attention than tomorrow's Tesla update which has worked its way even higher into the speculative echelon. Personally, I put more on CSX as a reflection of economy.
  • Commodities Update: As of 16:00, these are your best and worst performers based on the London trading schedule: Silver: 1.27% Oil - US Crude: 0.31% Gold: 0.26% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/pLRpke3JAJ
  • The bull market in gold has been in correction mode since it peaked in early August, and while it appears is a healthy retracement at this juncture, it is unclear just how much longer it will last. Get your $XAUUSD technical analysis from @PaulRobinsonFX :https://t.co/5etzhvsLuC https://t.co/aE7SaPPwih
  • $SPX bull flag + 38.2 retrace of the sep-oct major move $SPY $ES https://t.co/NbehE85NQc
  • Hey traders! Get your Tuesday market update from @DailyFX Chief Strategist @JohnKicklighter 👇 https://t.co/x2Db7s11Cz
  • Forex Update: As of 16:00, these are your best and worst performers based on the London trading schedule: 🇨🇦CAD: 0.53% 🇪🇺EUR: 0.49% 🇨🇭CHF: 0.34% 🇯🇵JPY: -0.13% 🇦🇺AUD: -0.17% 🇳🇿NZD: -0.35% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/Yql52APvbV
  • Join @JStanleyFX 's #webinar at 1:00 PM ET/5:00 PM GMT for his weekly update on trading price action. Register here: https://t.co/ZCcMdyaTsB https://t.co/fwID7cJTY2
  • 🇷🇺 Unemployment Rate (SEP) Actual: 6.3% Expected: 6.4% Previous: 6.4% https://www.dailyfx.com/economic-calendar#2020-10-20
  • Indices Update: As of 16:00, these are your best and worst performers based on the London trading schedule: US 500: 0.63% Wall Street: 0.55% Germany 30: -0.01% France 40: -0.08% FTSE 100: -0.08% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/ggxgcj3PT5
Gold Price Action at Long-term Resistance Points to Pullback

Gold Price Action at Long-term Resistance Points to Pullback

2019-08-14 11:00:00
Paul Robinson, Strategist
Share:

Gold Price Technical Outlook:

  • Gold ran into the thick of long-term resistance
  • Posted a volatile long-legged Doji candle
  • Only a pullback, consolidation expected for now

For an intermediate-term fundamental and technical viewpoint, see the Q3 Gold Forecast.

Gold ran into the thick of long-term resistance

The long-term wedge breakout in June suggests gold has room to rally to around 1700 or higher, but it won’t happen in a straight line, so a set-back here and there would be normal. Now looks as good as any for one of those set-backs to develop.

Gold was continuing its impressive rally yesterday before taking a strong turn lower on a positive twist in the Trade War. The sudden turnabout was timely too, with it developing in the long-term resistance zone penciled in from when gold underwent a topping process after the 2011 peak.

The zone ~1522/1575 coupled with an overly bullish market is making for a solid case in favor of weakness. Price, the final arbiter, is now supportive of the case. Yesterday’s volatile wide-range trading session resulting in effectively a net-zero return created a ‘Long-legged Doji’ candlestick.

These candles highlight a strong push-pull between both sides of the market and often mark an important inflection point. We could see the upper bound (1535) of the Doji tested before prices begin to fall back, but some type of decline/consolidation is anticipated to develop in the near to intermediate-term.

Looking lower, there is a trend-line (that has an upper parallel) that runs up from late May, it’s about $50 lower at this time in the 1450s. This could make for a compelling spot for would-be longs to enter on weakness for another swing up to resistance or higher. Should we see gold push beyond the 1535 high, gold will still be at risk of turning lower until it can rise above the top of the resistance zone.

Gold Price Weekly Chart (2011-12 levels)

Gold Price Action at Long-term Resistance Points to Pullback

Gold Price Chart by Tradingview

Check out the IG Client Sentiment page to see how changes in trader positioning can help signal the next price move in gold and other major markets and currencies.

Gold Price Daily Chart (volatile candle marks inflection point)

Gold Price Action at Long-term Resistance Points to Pullback

Gold Price Chart by Tradingview

Resources for Forex & CFD Traders

Whether you are a new or experienced trader, we have several resources available to help you; indicator for tracking trader sentiment, quarterly trading forecasts, analytical and educational webinars held daily, trading guides to help you improve trading performance, and one specifically for those who are new to forex.

---Written by Paul Robinson, Market Analyst

You can follow Paul on Twitter at @PaulRobinsonFX

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES